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About The Oregon statesman. (Salem, Or.) 1916-1980 | View Entire Issue (Aug. 3, 1935)
CIRCULATION Average -Daily and Sunday -; for July, 1935 -s Distribution 8109 ; Net raid 7735 " MEMBER A. B. C. V THEWfi ATH ER V Fair somewhat cooler to day and Sunday; Max. Temp. Friday 84, Mia. 47, river -3 feet, clear, northerly winds. : . FOUND. Ep 1831 EIGHTY-FIFTH YEAR Salem, Oregon,' Saturday Morning, August 3, 1935 No. Ill ISRUBEMlf - . - ' ' o ' ' ' 1 . . o ' MARTIN DELAYS DECISION AFTER BANKS HEARING Refuses to Embroil State by Calling Commission for Further Probe Hewitt. Kellaher and Mrs. Pomeroy Lead Effort to Get Slayer Free When Governor Charles H. Mar tin at 6:30 p. m. yesterday ad journed a hearing relating to a pardon for L. A. Banks, life-term er in the s'.ite penitentiary, he de clared that he would "take the case under advisement" although it was plainly evident that chan ces for executive clemency for Banks were extremely remote. From 2:30 o'clock In the after noon the governor had listened to evidence In the Banks case. Roy R. Hewitt, local attorney, representing Banks, declared that all he sought was a thorough in vestigation of the Banks case. Hewitt suggested the appointment of a special commission. Commission Proposal Scored by Governor "I do not . propose to call any such commission or to put the matter before the legislature," Martin retorted. "I have given all the time desired to hear this case. I am competent to make the in vestigation and have done so. I do not propose to throw Jackson county or this state into turmoil through any further investigation. "Then you have decided this case?'. Hewitt inquired. "No, I have not," said Martin, "but I'm not calling on any.com- mission for an investigation. Mrs. Ariel B. Pomeroy of Cen tral Point, appeared with Hewitt and with Dan Kellaher, as chief proponents for an investigation of the Banks, case. She declared that all she sought -was an investiga tio'n; she denied that she or Banks wanted a pardon until a thorough investigation had been made. . Kellaher opened the hearing charging that "power trust kid napers' were responsible -.for Banks' conviction and incarcera tion. Liberal .Leaders Are Not at Hearing Peter Zimmerman, Yamhill county senator, and Richard Neu berger, Portland "liberal," who signed petitions for Banks' hear ing and for his release, did not attend the meeting. Nor did Dr. A. A. Slaughter of Portland, oth er leaders in the move to get Banks released from the state prison. "What I want," Kellaher said, "is an open investigation. Banks should be called here to testify." Governor Martin replied that he would listen to Banks' repre sentatives, but that the prisoner would not be allowed to leave the penitentiary. Kellaher then made the state ment that William Levens, orig inally selected to prosecute Banks, had asserted that there was not a chance, of getting a conviction. Levens died the first day of the trial. "The power interests then In sisted that Ralph Moody be plac ed in charge of the prosecution," Kellaher said. "It was "obvious that the power interests were in complete control." Kellaher then charged that Banks was placed in a cell near a killer, and that his life has since been in danger. Going to Bottom Of Case, Says Kellaher "I. mcuriiloaa rtt anv ftcwislnn von make in this case I am going to the bottom of this affair," Kella her continued. : Mrs. Pomeroy alleged that Banks' conviction was due to mob hysteria and that he was the vic tim of a vicious condition. Mrs, Pomeroy declared that Banks had written Governor Mar tin that he would' not accept a (Turn to Page 3. Col. 5) Peaches Topic Next Week For Recipes; Uses Are Varied Peach cobbler, peach pie, . sherbet or Ice cream . . . many are the uses of peaches In cooking. Any peach reci pe, whether It calls for fresh, canned or dried fruit. is eli gible In the Round Table contest this week. F lease list aU the Ingre dients of the recipe before describing how they are pot . together. Check your recipe : carefully before sending it ia to be sure yon have omitted .nothing. Sign with your name and address and bring or mail to The Statesman office before Thursday noon, August S. More than one recipe may be submitted. Peace Plan Upon Bui Ilaly Plans Flighl of A ir Armada Opinion in Rome is That Geneva Parley Will Not Settle Question ; . 1 hree - if omt a, t Accord Reached ROME, Aug. 2 (AP) Plans in history with at least 50 Africa were disclosed tonight by after authorititative assertions r would not let the League of Nations compromise her program in the region of Ethiopia. World News at G! ance (By The Associated Press) Washing-ton : Lobby investigators hear utili ties official called proposed "whis pering" campaign "pertinent": Roosevelt chuckles at Cramer tes timony. House bickers on $270,000,000 tax bill, virtually agreeing to boost rates on incomes over $50, 000. President sees approval of AAA in report that some farmers plan court attacks against tariff; talk of compromise on AAA bill brings threat of fight from Senator John son. President blames McCarl for de lay in work relief projects, agrees to expedite procedure. Other Domestic: "Chicago Mondeville Zenge, "suicide," seized in Bauer mut ilation death; denies killing. Cleveland Woman, 40, held as "hex slayer" of neighbor she im magined was "witch". Foreign; Geneva Italy, France, England agree to resume arbitration 0 Ethiopian dispute under neutral arbiter. Addis Ababa Two Italian na tionals killed in train wreck. Rome Italy to send 50 bomb ers to Africa in September. Berlin Nazis set -up stringent new definitions of reason, wage campaign against foreign corre spondents writing displeasing"' news. THINS ATTEND SEND PORTLAND. Ore.. Ausr. 2.-..P. - Tpwnsend club members from all racinc coast states, estimated to number around 16,000, attended the opening session of the three day 'event honoring Dr. Francis Townsend, author of the pension plan, at Jantzen Beach here to day. Dr. Townsend gave the princi pal address. His talk followed a n a r a d e through the business district of Portland earlier in the day. Declaring that Henry Ford "has done more to make life liveable than any man since Christ," the Californian said that "the day is coming when the result of a short day's work will bring all the com- torts we want." "We are not going to really start until we restore buying pow er. We are out of balance as a people." VICTIMS RECOVERING BEND, Ore., Aug. 2-jp)-The t & iooq poisoning victims from the Ochoco Civilian Conservation corps camp were reported today to be well on the road to recovery. SEASIDE, Aug. 2.-P)-Harry Sladen, 35, of Gladstone, Ore., drowned while swimming In the surf shortly after noon here to day. Reports indicated that Sladen, vacationing here, was seized with I cramps and succumbed before his body was brought ashore by oth er bathers. MILL ALSO DESTROYED MARSHFIELD, Aug. 2. - (P) - ! Fire destroyed three purse-seine j nets used In Pilchard fishing and valued at $4000 each, in a blaze today at a former blacksmith shop on the waterfront here. The nets were insured. The blaze supposedly started I while tar was being heated to provide a protective covering for the nets. The "old Marshfield mill on the watershed belonging to the Oregon - Washington Water com pany west of Marshfield was de stroyed by fire last sight with I negligible loss. 101 SI is Agreed ' . ', by Leaders . - - for the greatest masa flight bombing planes flying to aeronautical circles, shortly had been heard that Italy Authoritative quarters express- ed the belief the Geneva delibera tions would not lead to a settle ment of the difficulty. GENEVA. Aug. 2-(P)-A three point agreement among .Italy, France and Britain as to methods for settling the Italo-Ethloplan dispute without war was announc ed tonight by Captain Anthony Eden of Great Britain., The three points are: 1. Arbitration will be resumed by setting in motion peace ma chinery provided in the 1928 Italo-Ethiopian treaty of friend ship. A fifth, neutral member will be added to the existing Italo-Ethiopian conciliation commission. 2. England, France and Italy will hold a conference somewhere in France as soon as possible to discuss possibilities of a broad political settlement of the Italo Ethiopian dispute. 3. A meeting of the League of Nations council to consider the whole subject will be held Sep tember 4. At the council meeting next month, Eden explained, Italy will refrain from voting and from taking part in the discussions. FOR POLAR Jill Soars Early Today; Goal is San Francisco; Expect to Arrive Monday MOSCOW, Aug. 3.-(Saturday) -(JPy-The soviet polar plane, USSR 25, piloted by Sigmund Levaneff sky, took off today at 6:03 a. m. (aboujt 8 p. m. Friday PST) from the Sholkovsky airport In a driv ing rain for San Francisco, Cal., on a projected 6,000 mile non stop flight across the North Pole. The big plane soared away to a graceful takeoff despite a load of fuel and emergency equipment totalling six tons. Accompanying Levaneffsky were George Baidukoff, eo- pilot, and Victor Lichenko, navigator. High soviet officials, including Commissar of War and Nary Vor oshiloff, Commissar of Home Af fairs Hagoda, and Assistant Com missar of Heavy Industry Pyata kov, saw the plane leave. Laveneffsky and his compan ions slept in the airdrome until shortly before the takeoff. They estimated they would reach San Frahcisco in 62 hours, arriving about 8 a. m. Monday. TJie red-winged ship would be forced to maintain an average of 9"6 miles per hour to maintain such a schedule. BUYS IDAHO CLAIMS BAKER, Ore., Aug. Z-(JP)-J. R. Bowles of Portland tonight an nounced he had taken options on a considerable number of lode and placer gold claims near Atlanta in north central Idaho. MET M Gladstone Man Drowns Pilchard Nets Burn Up Railroad Seeks Relief MiU Workers Walk Out DEBT LOAD HEAVY PORTLAND, Aug. 2.-()-Fed-eral Judge John McXary today granted the Willamette Valley Southern Railway permission to file a plan for easing its debt load. The plan will be given a hear ing September 3. The company pleaded indebtedness of approxi mately ?400,000. WANT MORE PAY COTTAGE GROVE, Aug. 2 .-?) -Sawmill and Timber Workers onion members of the J. H. Chambers & Son company and W. A. Woodard ft Co., struck to day. The Chambers planer con tinued to operate. Workers of the Bohemia Lum ber company struck yesterday, but the planer was operating. Union forces were to meet tonight and map the next . action in their ef forts, to obtain wage increase, and guarantee of collective bargain Ing. " . . . i : ITER BOARD'S WORK STARTED; FOUND ARDUOUS Lengthy Session Held; New Signs to Be Placed Soon on Central Offices Delaney Not to Remain as Temporary Aide Due to Pay Disagreement A three-hour session last night indicated the arduous duties ahead of the Salem water com mission. A mass of detail busi ness was waded through and num erous small matters continued or referred to committees or the manager. Inasmuch as J. T. Delaney, dis trict manager for the Oregon Washington Water Service compa ny, declined to remain here in an advisory capacity to Manager Cuyler Van Patten on the terms offered by the commission $300 a month the members rescinded their proposal. Herbert K. Grif fin, company vice-president, this week informed Chairman Edward Rostein that Delaney would re main on the company payroll but if the city desired his services, he would be paid through compa ny channels and the water com mission billed for ' his salary, which would have been in excess of the commission's offer. "Water Department' Signs Will Appear All of the commissioners ex pressed confidence in Van Pat ten's ability to carry out his du ties unassisted. Signs soon will be placed on the water offices and on the sys tem's equipment bearing the in scription, "City of Salem Water Department" as a result of a sug gestion by Commissioner William Gahlsdorf. No definite name for the system was specified in the charter water amendment. De partment checks will be signed, "Salem Water Commission." Fairgrounds Main Project Rejected The commission rejected a re quest from Frank G. Deckebach, sr., representing the state fair management, that the department lay 1100 feet of six-inch main to connect a second city main with the fairgrounds network. It was pointed out that the city main now runs to the edge of the state-owned fairgrounds property. Instead the commission offered to lay the line at cost, plus 5 per cent for overhead, the state to foot the bill. (Turn to Page 3, Col. 6) SID MODEL CITY BONNEVILLE, Ore., Aug. 2-(-Charles B. Bohn, of Detroit, president of the Bohn Aluminum and Brass corporation, was here today and viewed the rising $42, 000,000 Bonneville power and na vigation dam whose total output of power he has proposed to use. He was particularly interested that construction was ahead of schedule, and he also showed much interest in the Intricate fishways being built to provide passage for salmon to their spawn ing grounds. . Bohn said be would like to pur chase 600 or 700 acres within five or six miles of the dam to locate aluminum manufacturing plants which he said would utilize ore from Utah and New Zealand. His first proposed unit would use 65,000 horsepower, slightly more than half of the 120,000 horsepower to be developed by the first two powerhouse units of the dam. Eight more power units may bemadded to the dam when demand warrants, and Bohn pro poses to build 10 units to his plant. He said he would be inter ested in Qbtaining a large bloc of power even if not all of it. Mystery Wreck Causes Ethiopia To Guard Outlet (CopvTlebt, 1935, r AwoeUteJ Prett) ADDIS ABABA, Ethiopia, Aug. 2 E mergency precautionary measures ta keep open the Addis Ababa-KJiboutt railway line, this capital's only outlet to the world, were taken today after two Italian subjects, natives of the Dodecan ese islands, were killed in an un explained wreck. Emperor Halle Selassie and his adviser were authoritatively re ported ready to Impose martial law In the capital, if need be, to guarantee order, guard against espionage and control the wild tribesmen rushing to answer yes terday's call for recruits. T Kellaher Holds Contract to A id Slay e r 's Release, IN UN ON IMMEDIATE OF CASE Public Policy Demands Full Investigation, District Attorney Declares Circuit Judge Uncertain on Calling Grand Jury for August, Indicates District Attorney William H. Trindle declared promptly last night that he would act "imme diately" to place before a Marion county grand jury every available piece of evidence relative to the allegedly Illegal contract between Dan Kellaher, former state parole officer, and L. A. Banks, life termer at the state penitentiary, wherein Kellaher for 350,000 was to aid in securing Banks' release. "I propose that every angle of this case be investigated," Trindle declared. "Public policy demands that there must be no delay and a complete investigation." Judge L. H. McMahan, presid ing jurist of the first department here, was uncertain when reach ed last night of the exact time when he would call a new grand jury, He dismissed the former jury jafjte.r an indictment brought against Sheriff "AT C. TEfurk was ruled out by Circuit Judge Fred Wilson.- Had Not Intended To Call Grand Jury McMahan said he had not planned to convene the grand jury before September since most of the members or tne panel or 24, from which the Jury will be (Turn to Page 3, Col. 3) Elopement's Windup Is in Local Court An floiement of two Juveniles struck a snag yesterday noon when Fred woods. 17, was haled Into Justice court here on charge of contributing to delinquency or a minor. Complaint against Woods was signed by Mrs. Mettle Roberts, mother of Ila Mae Lair, 16, to whom Woods claimed he was mar ried in Portland yesterday morn ing. The mother accuses young Woods of taking the girl to Van couver, Wash., for purpose of marriage without first gaining consent of the girl's parents. According to the story told the officers, Woods and Ila Mae ap parently went to Vancouver late Thursday afternoon and attempt ed to get a license to marry, but the license clerk turned them down there because of their youth. Young Woods asked until 10 o'clock this morning in which to enter plea to the charge, and was released to his mother. He claimed he and the girl obtained a license in Portland. The Associated Press last night was unable to verify this. Patrons Gaining Steadily, Water Records Reveal An averaee of ten new water users a month is nbted in a study of water company records dating back to September, 1934, it was reported at the city water commission last night by Mana ger Cuyler Van Patten. The re port was made in explanation of a request for permission to pur chase 60 new meters, which will cost J9.45 with couplings. The svstem has approximately 6600 metered water connections and about 400 more on flat rate basis. Charles Magee Dies of Injury McMINNVILLE, Ore., Aug. f - OiP)-Charles S. Magee, 69, promi nent Yamhill eountv farmer who inlnred Julv 24. died at a hosnitai here lata yesterday. He was seriously hurt when a bridge gave way, precipitating his wagon and four-horse team into Baker creek near here. Three Alleged Present at Signing Of Contract in Case of L. A. Banks t ' . 7 r ' Above, left. Lewdly n A. Banks convicted slayer; right, Dan Kellaher, alleged to have ob tained a contract, while state parole officer, for payment if he obtained Banks release from prison; below, M. Clifford Moy nihan, Salem lawyer, whose name appears as witness and notary on the purported con tract. SUTTER IN HIS SOUTHAMPTON, N. Y., Aug. 2. -jpy-A 19-year old school boy and a veteran twice his age will Bat tle for the Meadow club's historic singles bowl tomorrow. irranltlA Parker. Milwaukee tar, who is top-seeded and the fourth ranking player of the coun try, earned a place in the final round for the second year m a row this afternoon when he" out lasted Clifford Sutter of Detroit, Mich., eighth ranking player of the country, .6-2, 2-6, 6-z, -z. J. Gilbert Hall of Orange, N. J the veteran, gained his titular round by coming back strongly al ter a tough third set with Hen rv CiiUev of Santa Barbara. Cal., and, like Parker, showing the greater stamina in the stretcn. He triumphed by 6-3, 6-u, o-a scores. Doubles: Semi-final round: Parker. Spring Lake, and Gregory S. Mangin, Newark, de feated Sajuel Lee, Seattle, ana Henry Prusoff, Seattle, 6-1, 3-6, 6-4 6-3. r ' ' 1 V v. . PARKER TO OPPOSE Taxing Bill Moves Toward Vole Amid WASHINGTON, Aug. 2.-(JP)-A shower of projected amendments today descended upon the S270. 000,000 tax bill as it moved through republican political at tacks and democratic praise to the voting stage. Democratic chiefs still openly professed determination to push the measure through by tomorrow night, if possible, but privately conceded they had little chance of achieving that objective. They kept the house 1n session today, however, until It had finished in itial debate on the 98-page meas ure. - The house debate, far from sprightly most of the time, began while some senate finance com mitteemen, were reacting sym pathetically to a suggestion that 1 7 . v ; - A, 5)7 KEN IB NOTABLE Ill STATE POLITICS Former State Senator and Portland Councilman; Aids Meier Drive Dan Kellaher. involved In a contract to free L. A. Banks from the Oregon penitentiary, has for many years been a prominent fig ure in Oregon public affairs. He became parole officer of the state when Governor Meier came to of fice, beinr rewarded with the ap pointment because of his friend ship for the governor's great friend, the late George w. Jo seph. Long active !n Portland poli tics, he served that city as coun cilman, city commissioner, state senator, member of the dock com mission and manager of numer ous political campaigns. Kellaher was elected to the Portland city council in 1905, the year of the Lewis & ciarfc cen tennial exposition. Was Commissioner of Public Docks In 1912, A. G. Rushlight, then mayor, appointed him to the com mission of public docks. In the meantime, Kellaher had been elected state senator from Mult nomah county in 1909, and he was elected to the same office again in 1915. Kellaher returned to the mu (Turn to Page 3, Col. 6) Water Users to Pay But One Bill At End of Month Customers of the new" city wa ter department will be put to no nnnmisl Inconvenience in the manner of paying their August water bills. Manager Cuyler Van Patten stated last night. Al though the old company will re ceive a portion of the rentals due from August meter readings, the division will be made by the de partment so that water users need pay but one bill, that to the department under department beadine. First meter readings under city ownership were made yesterday Healed Debate the bill be put off until next ses lnn. PrPRint Roosevelt and Secre tary Morgenthau figured promin ently in the house political free-for-all. At least four republican speakers stood up to recall this statement by the president on Oc tober 19, 1932, when he was cam paigning for the presidency: "Taxes are paid in the sweat of every, man who labors because they are a burden on production and can be paid only by, produc tion. If excessive, they are re flected ' in idle factories, tax-sold farms, and hence in hordes of the hungry tramping the streets and seeking jobs in vain. "Our workers may never see a tax. MIL but they pay in deduc tions for wages, in Increased cost of what they buy, or in broad ces sation of employment," Claim SUM OF $80,00! WOULD BE PAI IF SUCCESSFOL Agreement Entered WhHe Kellaher Was Parole Officer, Alleged Name of M. C. Moynihan is Brought Into Case as Notary, Witness A tale of phrported bribery, in which Dan Kellaher, state parole officer to June 1. 1935, agred to use his best efforts to free L. A. Banks from the state peniten tiary, for a consideration up to $50,000, the contact between Kel laher and Banks being made May 16, 1935, was thrown before Gov ernor Charles H. Martin late yes terday afternoon while friends of Banks were pressing for a new in vestigation of the case and the re lease of the corfricted Medford murderer from the state peniten tiary. - With dramatic effectiveness, Ralph Moody, deputy attorney general, shifted from his recita tion of the facts of the Banks trial to point an accusing finger at Kellaher, sitting at the hearing. and to declare that Kellaher, in plain violation . of his oath of of fice had entered into an "unholy contract" to free Banks for a sura up to f 50.000. I propose to refer this entire transaction to the district attor ney, the circuit Judge and the grand Jury of Marion county," Moody shouted. Action Taken While Officer, Declares "We have the spectacle of a state parole officer, being paid through the secretary of state's office for his services, contracting: while he was an executive officer of the state to free a man from the state penitentiary. Kellaher, pale and silent, listc- ed as Moody unfolded the details of the alleged illegal plot to pet Banks from prison. 'I am satisfied there are other connected with this contract, Moody continued. "The Jury must inquire into the relationship of M. Clifford Moynihan who as a no tary made affidavit to this con tract and signed as one of the wit? nesses." 'Whoever Induced Banks to sign this contract must be brought before the bar of justice." Moody introduced in evidence before Governor Martin photostat ic copies of the contract between Kellaher and Banks. He declared that the contract was executed at the state penitentiary, while Kel laher was parole officer, and that Moynihan, local attorney, signed the contract as notary and also signed as witness. Joe Murray, secretary of the state parole board attended the meeting, as did Banks, said Moody, but Murray refused to sign as a witness. Would Gain Large Sum if Successful The contract provided th&t if Kellaher was successful in obtain ing a pardon for Banks he would receive 350,000, less expenses. In case Kellaher failed, he was te re ceive as compensation such am ount as would be agreed upon be tween Banks and Kellaher. In another part of the contract it was provided that Kellaher was to receive $200,000 provided he recovered assets belonging to Banks in the estimated value of $715,000. Moody, holding the audience before the governor in close at tention, proceeded to excoriate the drawers of the contract. He point ed to a clause which, be said, in dicated that Banks and Kellaher knew the agreement was illegal. "It is distinctly in the minds of said Llewellyn A. Banks ad Dan Kellaher that there is a pos sibility of claims or contentions being made that the herein con tract IS against public policy .... and therefore, at no time ..... shall the claim or attempted claim of such a nature be grounds for .... nnllif tcation of the terms of this contract," the instrument read. "I want to say that when Kel laher executed this contract he prostituted his oath i of office.. Moody declared. This contract plainly shows that Kellaher, as pa role officer, was interested in "jet ting Banks out of the penitenti ary. He was not acting because of any particular love for the pris oner. (Turn to Page t. Col. 5)